Paymerang acquisition closed on July 1,
2024
Corpay, Inc. (NYSE: CPAY), a corporate payments company, today
reported financial results for its second quarter ended June 30,
2024.
“Our results were slightly ahead of our expectations. Our most
recent business trends, including same store sales, new sales and
customer retention, all meaningfully improved in the second
quarter, which bodes well for our 2024 exit,” said Ron Clarke,
chairman and chief executive officer, Corpay, Inc. “Our Corporate
Payments revenue continued to grow in the high teens and with the
addition of Paymerang on July 1st and GPS Capital Markets expected
in early 2025, that business is well on its way to becoming 40% of
the company by the end of 2025.”
Financial Results for Second Quarter of 2024:
GAAP Results
- Revenues increased 3% to $975.7 million in the second quarter
of 2024, compared with $948.2 million in the second quarter of
2023, which included $32 million of revenue from our sold Russia
business.
- Net income attributable to Corpay increased 5% to $251.6
million in the second quarter of 2024, compared with $239.7 million
in the second quarter of 2023.
- Net income per diluted share attributable to Corpay increased
10% to $3.52 in the second quarter of 2024, compared with $3.20 per
diluted share in the second quarter of 2023.
Non-GAAP Results1
- EBITDA1 increased 4% to $517.7 million in the second quarter of
2024, compared to $497.1 million in the second quarter of 2023, up
10% ex-Russia.
- Adjusted net income attributable to Corpay1 increased 3% to
$325.0 million in the second quarter of 2024, compared with $314.3
million in the second quarter of 2023.
- Adjusted net income per diluted share attributable to Corpay1
increased 8% to $4.55 in the second quarter of 2024, compared with
$4.19 per diluted share in the second quarter of 2023, up 14%
ex-Russia.
“Our Corporate Payments and Vehicle Payments segments delivered
solid performance driven by implementations and ramping of new
sales. Our U.S. local fleet and lodging businesses demonstrated
progress in the second quarter with strong sales and improving same
store sales,” said Tom Panther, chief financial officer, Corpay,
Inc. “Our EBITDA margin improved 60 bps, and we repurchased 2.2
million shares in the quarter. This brings our total repurchases to
3.3 million shares for the year.”
Updated Fiscal Year 2024 Outlook:
“Our outlook for the remainder of the year includes $25-$35
million of Paymerang revenue, offset by slightly unfavorable
foreign exchange rates and fuel prices compared with our May
outlook, in addition to a slower lodging recovery. For the second
half of 2024, we expect revenue growth acceleration as we exit the
year, driven by sales, improving retention, flat same store sales
and business initiatives,” concluded Panther.
For fiscal year 2024, Corpay, Inc. updated financial guidance1
is as follows:
- Total revenues between $3,975 million and $4,025 million;
- Net income between $1,058 million and $1,088 million;
- Net income per diluted share between $14.85 and $15.15;
- Adjusted net income between $1,345 million and $1,375 million;
and
- Adjusted net income per diluted share between $18.85 and
$19.15.
Corpay’s guidance assumptions are as follows:
For the balance of the year:
- Weighted average U.S. fuel prices equal to $3.55 per
gallon;
- Fuel price spreads flat with the 2023 average; and
- Foreign exchange rates equal to the July 2024 monthly
average.
For the full year:
- Interest expense between $370 million and $390 million;
- Approximately 72 million fully diluted shares outstanding;
- A tax rate of approximately 24% to 25%; and
- No impact related to material acquisitions not already
closed.
Third Quarter of 2024 Outlook:
"Third quarter revenues are expected to be between $1,015
million and $1,035 million, and adjusted net income per diluted
share between $4.90 and $5.00. Third quarter revenues and adjusted
net income per diluted share growth, excluding the sale of our
Russia business, is expected to be 7% and 13%, respectively at the
mid-point,” concluded Panther.
Conference Call:
The Company will host a conference call to discuss second
quarter 2024 financial results today at 5:30 pm ET. Hosting the
call will be Ron Clarke, chief executive officer, Tom Panther,
chief financial officer and Jim Eglseder, investor relations. The
conference call will be webcast live from the Company's investor
relations website at http://investor.corpay.com. The conference
call can also be accessed live over the phone by dialing (800)
225-9448 or (203) 518-9708; the Conference ID is “CORPAY”. A replay
will be available one hour after the call and can be accessed by
dialing (844) 512-2921 or (412) 317-6671 for international callers;
the replay access ID is 11156469. The replay will be available
through Thursday, August 15, 2024. Prior to the conference call,
the Company will post supplemental financial information that will
be discussed during the call and live webcast.
Forward-Looking Statements:
This press release contains forward-looking statements within
the meaning of the federal securities laws. Statements that are not
historical facts, including statements about Corpay’s beliefs,
assumptions, expectations and future performance, are
forward-looking statements. Forward-looking statements can be
identified by the use of words such as “anticipate,” “intend,”
“believe,” “estimate,” “plan,” “seek,” “project” or “expect,”
“may,” “will,” “would,” “could” or “should,” the negative of these
terms or other comparable terminology.
These forward-looking statements are not a guarantee of
performance, and you should not place undue reliance on such
statements. We have based these forward-looking statements largely
on preliminary information, internal estimates and management
assumptions, expectations and plans about future conditions, events
and results. Forward-looking statements are subject to many
uncertainties and other variable circumstances, such as our ability
to successfully execute our strategic plan, manage our growth and
achieve our performance targets; the impact of macroeconomic
conditions, including any recession that has occurred or may occur
in the future, and whether expected trends, including retail fuel
prices, fuel price spreads, fuel transaction patterns, electric
vehicle, and retail lodging price trends develop as anticipated and
we are able to develop successful strategies in light of these
trends; our ability to attract new and retain existing partners,
fuel merchants, and lodging providers, their promotion and support
of our products, and their financial performance; the failure of
management assumptions and estimates, as well as differences in,
and changes to, economic, market, interest rate, interchange fees,
foreign exchange rates, and credit conditions, including changes in
borrowers’ credit risks and payment behaviors; the risk of higher
borrowing costs and adverse financial market conditions impacting
our funding and liquidity, and any reduction in our credit ratings;
our ability to successfully manage our credit risks and the
sufficiency of our allowance for expected credit losses; our
ability to securitize our trade receivables; the occurrence of
fraudulent activity, data breaches or failures of our information
security controls or cybersecurity-related incidents that may
compromise our systems or customers’ information; any disruptions
in the operations of our computer systems and data centers; the
international operational and political risks and compliance and
regulatory risks and costs associated with international
operations; the impact of international conflicts, including
between Russia and Ukraine, as well as within the Middle East, on
the global economy or our business and operations; our ability to
develop and implement new technology, products, and services; any
alleged infringement of intellectual property rights of others and
our ability to protect our intellectual property; the regulation,
supervision, and examination of our business by foreign and
domestic governmental authorities, as well as litigation and
regulatory actions, including the lawsuit filed by the Federal
Trade Commission (FTC); the impact of regulations and related
requirements relating to privacy, information security and data
protection; derivative and hedging activities; use of third-party
vendors and ongoing third-party business relationships; and failure
to comply with anti-money laundering (AML) and anti-terrorism
financing laws; changes in our senior management team and our
ability to attract, motivate and retain qualified personnel
consistent with our strategic plan; tax legislation initiatives or
challenges to our tax positions and/or interpretations, and state
sales tax rules and regulations; the risks of mergers, acquisitions
and divestitures, including, without limitation, the related time
and costs of implementing such transactions, integrating operations
as part of these transactions and possible failures to achieve
expected gains, revenue growth and/or expense savings from such
transactions; our ability to remediate material weaknesses and the
ongoing effectiveness of internal control over financial reporting;
our restatement of prior quarterly financial statements discussed
in our Annual Report of Form 10-K for the year ended December 31,
2024 (the "2023 Form 10-K") may affect investor confidence and
raise reputational issues and may subject us to additional risks
and uncertainties, including increased professional costs and the
increased possibility or legal proceedings and regulatory
inquiries, as well as the other risks and uncertainties identified
under the caption "Risk Factors" in the 2023 Form 10-K filed with
the Securities and Exchange Commission (“SEC”) on February 29, 2024
and subsequent filings with the SEC made by us. These factors could
cause our actual results and experience to differ materially from
any forward-looking statement made herein. The forward-looking
statements included in this press release are made only as of the
date hereof and we do not undertake, and specifically disclaim, any
obligation to update any such statements as a result of new
information, future events or developments, except as specifically
stated or to the extent required by law. You may access Corpay’s
SEC filings for free by visiting the SEC web site at
www.sec.gov.
About Non-GAAP Financial Measures:
This press release includes non-GAAP financial measures, which
are used by the Company as supplemental measures to evaluate its
overall operating performance. The Company’s definitions of the
non-GAAP financial measures used herein may differ from similarly
titled measures used by others, including within our industry. By
providing these non-GAAP financial measures, together with
reconciliations to the most directly comparable GAAP financial
measures, we believe we are enhancing investors’ understanding of
our business and our results of operations, as well as assisting
investors in evaluating how well we are executing strategic
initiatives. See the appendix for additional information regarding
these non-GAAP financial measures and a reconciliation to the most
directly comparable GAAP measure.
The Company refers to free cash flow, cash net income and
adjusted net income attributable to Corpay interchangeably, a
non-GAAP financial measure. Adjusted net income attributable to
Corpay is calculated as net income attributable to Corpay, adjusted
to eliminate (a) non-cash stock based compensation expense related
to stock based compensation awards, (b) amortization of deferred
financing costs, discounts, intangible assets, and amortization of
the premium recognized on the purchase of receivables, (c)
integration and deal related costs, and (d) other non-recurring
items, including unusual credit losses, the impact of discrete tax
items, the impact of business dispositions, impairment charges,
asset write-offs, restructuring costs, loss on extinguishment of
debt, and legal settlements and related legal fees. We adjust net
income for the tax effect of adjustments using our effective income
tax rate, exclusive of discrete tax items. We calculate adjusted
net income attributable to Corpay and adjusted net income per
diluted share attributable to Corpay to eliminate the effect of
items that we do not consider indicative of our core operating
performance.
Adjusted net income attributable to Corpay and adjusted net
income per diluted share attributable to Corpay are supplemental
measures of operating performance that do not represent and should
not be considered as an alternative to net income, net income per
diluted share or cash flow from operations, as determined by U.S.
generally accepted accounting principles, or U.S. GAAP. We believe
it is useful to exclude non-cash share based compensation expense
from adjusted net income because non-cash equity grants made at a
certain price and point in time do not necessarily reflect how our
business is performing at any particular time and share based
compensation expense is not a key measure of our core operating
performance. We also believe that amortization expense can vary
substantially from company to company and from period to period
depending upon their financing and accounting methods, the fair
value and average expected life of their acquired intangible
assets, their capital structures and the method by which their
assets were acquired; therefore, we have excluded amortization
expense from our adjusted net income. Integration and deal related
costs represent business acquisition transaction costs,
professional services fees, short-term retention bonuses and system
migration costs, etc., that are not indicative of the performance
of the underlying business. We also believe that certain expenses,
discrete tax items, gains on business disposition, recoveries (e.g.
legal settlements, write-off of customer receivable, etc.), gains
and losses on investments, and impairment charges do not
necessarily reflect how our investments and business are
performing. We adjust net income for the tax effect of each of
these adjustments items using the effective tax rate during the
period, exclusive of discrete tax items.
Organic revenue growth is calculated as revenue growth in the
current period adjusted for the impact of changes in the
macroeconomic environment (to include fuel price, fuel price
spreads and changes in foreign exchange rates) over revenue in the
comparable prior period adjusted to include or remove the impact of
acquisitions and/or divestitures and non-recurring items that have
occurred subsequent to that period. We believe that organic revenue
growth on a macro-neutral, one-time item, and consistent
acquisition/divestiture/non-recurring item basis is useful to
investors for understanding the performance of Corpay.
EBITDA is defined as earnings before interest, income taxes,
interest expense, net, other expense (income), depreciation and
amortization, loss on extinguishment of debt, investment loss/gain
and other operating, net. EBITDA margin is defined as EBITDA as a
percentage of revenue.
Management uses adjusted net income attributable to Corpay,
adjusted net income per diluted share attributable to Corpay,
organic revenue growth and EBITDA:
- as measurements of operating performance because they assist us
in comparing our operating performance on a consistent basis;
- for planning purposes, including the preparation of our
internal annual operating budget;
- to allocate resources to enhance the financial performance of
our business; and
- to evaluate the performance and effectiveness of our
operational strategies.
About Corpay
Corpay (NYSE: CPAY) is a global S&P 500 corporate payments
company that helps businesses and consumers manage and pay expenses
in a simple, controlled manner. Corpay’s suite of modern payment
solutions help its customers better manage vehicle-related expenses
(e.g. fueling and parking), travel expenses (e.g. hotel bookings)
and accounts payable (e.g. paying vendors). This results in our
customers saving time and ultimately spending less. Corpay –
Payments made easy. For more information, please visit
www.corpay.com.
_____________________________________________________________________________________________________________________________________________
1 Reconciliations of GAAP results to non-GAAP results are provided
in Exhibit 1, 5 and 6 attached. Additional supplemental data is
provided in Exhibits 2-4. A reconciliation of GAAP guidance to
non-GAAP guidance is provided in Exhibit 7.
Corpay, Inc. and
Subsidiaries
Unaudited Consolidated
Statements of Income
(In thousands, except per
share amounts)
Three Months Ended June
30,
Six Months Ended June
30,
2024
2023
% Change
2024
2023
% Change
Revenues, net
$
975,710
$
948,174
3
%
$
1,910,961
$
1,849,507
3
%
Expenses:
Processing
209,199
205,265
2
%
416,610
410,232
2
%
Selling
95,044
86,412
10
%
189,232
168,004
13
%
General and administrative
153,777
159,356
(4
)%
305,039
314,040
(3
)%
Depreciation and amortization
84,342
83,676
1
%
169,102
167,908
1
%
Other operating, net
9
815
NM
301
1,478
NM
Total operating expense
542,371
535,524
1
%
1,080,284
1,061,662
2
%
Operating income
433,339
412,650
5
%
830,677
787,845
5
%
Other expenses:
Investment (gain) loss
(36
)
18
NM
(203
)
(172
)
18
%
Other expense (income), net
4,496
(2,424
)
NM
7,623
(1,678
)
NM
Interest expense, net
94,677
88,486
7
%
183,765
168,281
9
%
Total other expense
99,137
86,080
15
%
191,185
166,431
15
%
Income before income taxes
334,202
326,570
2
%
639,492
621,414
3
%
Provision for income taxes
82,539
86,868
(5
)%
158,026
166,877
(5
)%
Net income
251,663
239,702
5
%
$
481,466
$
454,537
6
%
Less: Net income attributable to
noncontrolling interest
38
—
NM
72
—
NM
Net income attributable to Corpay
$
251,625
$
239,702
5
%
$
481,394
$
454,537
6
%
Basic earnings per share
$
3.59
$
3.24
11
%
$
6.79
$
6.17
10
%
Diluted earnings per share
$
3.52
$
3.20
10
%
$
6.64
$
6.08
9
%
Weighted average shares outstanding:
Basic shares
70,107
73,887
70,934
73,705
Diluted shares
71,497
75,001
72,516
74,763
Corpay, Inc. and
Subsidiaries
Consolidated Balance
Sheets
(In thousands, except share
and par value amounts)
June 30, 2024
December 31, 2023
(Unaudited)
Assets
Current assets:
Cash and cash equivalents
$
1,357,567
$
1,389,648
Restricted cash
2,189,729
1,751,887
Accounts and other receivables (less
allowance)
2,412,011
2,161,586
Securitized accounts receivable —
restricted for securitization investors
1,409,000
1,307,000
Assets held for sale
78,592
—
Prepaid expenses and other current
assets
528,798
474,144
Total current assets
7,975,697
7,084,265
Property and equipment, net
357,759
343,154
Goodwill
5,545,966
5,644,958
Other intangibles, net
1,956,855
2,085,663
Investments
64,039
69,521
Other assets
296,219
248,691
Total assets
$
16,196,535
$
15,476,252
Liabilities and Equity
Current liabilities:
Accounts payable
$
1,902,909
$
1,624,995
Accrued expenses
367,753
356,118
Customer deposits
2,763,554
2,397,279
Securitization facility
1,409,000
1,307,000
Current portion of notes payable and lines
of credit
1,106,744
819,749
Liabilities held for sale
9,504
—
Other current liabilities
283,083
320,612
Total current liabilities
7,842,547
6,825,753
Notes payable and other obligations, less
current portion
4,817,634
4,596,156
Deferred income taxes
445,207
470,232
Other noncurrent liabilities
315,554
301,752
Total noncurrent liabilities
5,578,395
5,368,140
Commitments and contingencies
Stockholders’ equity:
Common stock
130
129
Additional paid-in capital
3,418,512
3,266,185
Retained earnings
8,674,053
8,192,659
Accumulated other comprehensive loss
(1,498,985
)
(1,289,099
)
Treasury stock
(7,843,005
)
(6,887,515
)
Total Corpay stockholders’ equity
2,750,705
3,282,359
Noncontrolling interest
24,888
—
Total equity
2,775,593
3,282,359
Total liabilities and equity
$
16,196,535
$
15,476,252
Corpay, Inc. and
Subsidiaries
Unaudited Consolidated
Statements of Cash Flows
(In thousands)
Six Months Ended June
30,
2024
2023
Operating activities
Net income
$
481,466
$
454,537
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation
58,443
53,739
Stock-based compensation
52,087
60,844
Provision for credit losses on accounts
and other receivables
53,485
74,418
Amortization of deferred financing costs
and discounts
4,080
3,574
Amortization of intangible assets and
premium on receivables
110,659
114,169
Deferred income taxes
(9,675
)
(11,799
)
Investment gain
(203
)
(172
)
Other non-cash operating expense, net
301
1,478
Changes in operating assets and
liabilities (net of acquisitions/disposition)
140,462
348,172
Net cash provided by operating
activities
891,105
1,098,960
Investing activities
Acquisitions, net of cash acquired
(59,871
)
(126,694
)
Purchases of property and equipment
(85,289
)
(78,922
)
Other
(1,453
)
4,401
Net cash used in investing activities
(146,613
)
(201,215
)
Financing activities
Proceeds from issuance of common stock
100,241
66,148
Repurchase of common stock
(947,074
)
(11,973
)
Borrowings on securitization facility,
net
102,000
(39,000
)
Deferred financing costs
(3,176
)
—
Proceeds from notes payable
325,000
—
Principal payments on notes payable
(51,063
)
(47,000
)
Borrowings from revolver
4,153,000
4,351,000
Payments on revolver
(3,811,000
)
(4,817,000
)
(Payments) borrowings on swing line of
credit, net
(109,247
)
255,750
Other
2,081
264
Net cash used in financing activities
(239,238
)
(241,811
)
Effect of foreign currency exchange rates
on cash
(99,493
)
38,401
Net increase in cash and cash equivalents
and restricted cash
405,761
694,335
Cash and cash equivalents and restricted
cash, beginning of year
3,141,535
2,289,180
Cash and cash equivalents and restricted
cash, end of year
$
3,547,296
$
2,983,515
Supplemental cash flow
information
Cash paid for interest, net
$
237,912
$
215,850
Cash paid for income taxes, net
$
185,333
$
238,769
Exhibit 1
RECONCILIATION OF NON-GAAP
MEASURES
(In thousands, except shares
and per share amounts)
(Unaudited)
The following table reconciles net income attributable to Corpay to
adjusted net income attributable to Corpay and adjusted net income
per diluted share attributable to Corpay:*
Three Months Ended June
30,
Six Months Ended June
30,
2024
2023
2024
2023
Net income attributable to Corpay
$
251,625
$
239,702
$
481,394
$
454,537
Stock based compensation
27,108
34,748
52,087
60,844
Amortization1
56,881
57,704
114,739
117,743
Integration and deal related costs
7,128
9,580
11,363
15,465
Restructuring and related costs2
1,872
960
6,254
1,579
Other2,3
4,433
(1,415
)
8,045
(392
)
Total pre-tax adjustments
97,422
101,577
192,488
195,239
Income taxes4
(24,064
)
(27,020
)
(47,579
)
(52,436
)
Adjusted net income
$
324,983
$
314,259
$
626,303
$
597,340
Adjusted net income per diluted share
attributable to Corpay
$
4.55
$
4.19
$
8.64
$
7.99
Diluted shares
71,497
75,001
72,516
74,763
1 Includes consolidated amortization
related to intangible assets, premium on receivables, deferred
financing costs and debt discounts.
2 Certain prior period amounts have been
reclassified to conform with current period presentation.
3 Includes losses and gains on foreign
currency transactions, legal expenses, and removes the amortization
attributable to the Company's noncontrolling interest.
4 Represents provision for income taxes of
pre-tax adjustments.
* Columns may not calculate due to
rounding.
Exhibit 2
Key Performance Indicators, by
Segment and Revenue Per Performance Metric on a GAAP Basis and Pro
Forma and Macro Adjusted
(In millions except revenues,
net per key performance metric)
(Unaudited)
The following table presents revenue and
revenue per key performance metric by segment.*
As Reported
Pro Forma and Macro
Adjusted2
Three Months Ended June
30,
Three Months Ended June
30,
2024
2023
Change
%
Change
2024
2023
Change
%
Change
VEHICLE PAYMENTS
- Revenues, net
$
510.3
$
509.6
$
0.7
—
%
$
518.3
$
492.0
$
26.3
5
%
- Transactions
207.3
153.9
53.4
35
%
207.3
193.7
13.6
7
%
- Revenues, net per transaction
$
2.46
$
3.31
$
(0.85
)
(26
)%
$
2.50
$
2.54
$
(0.04
)
(2
)%
- Tag transactions3
21.4
19.7
1.7
9
%
21.4
19.7
1.7
9
%
- Parking transactions
63.0
—
63.0
NM
63.0
56.8
6.2
11
%
- Fleet transactions
112.9
128.4
(15.6
)
(12
)%
112.9
111.4
1.4
1
%
- Other transactions
10.0
5.7
4.3
75
%
10.0
5.7
4.3
75
%
CORPORATE
PAYMENTS
- Revenues, net
$
288.5
$
246.0
$
42.5
17
%
$
289.6
$
246.0
$
43.6
18
%
- Spend volume
$
42,879
$
36,033
$
6,845
19
%
$
42,879
$
36,033
$
6,845
19
%
- Revenues, net per spend $
0.67
%
0.68
%
(0.01
)%
(1
)%
0.68
%
0.68
%
—
%
—
%
LODGING
PAYMENTS
- Revenues, net
$
122.4
$
136.6
$
(14.2
)
(10
)%
$
122.5
$
136.6
$
(14.1
)
(10
)%
- Room nights
8.7
9.3
(0.6
)
(6
)%
8.7
9.3
(0.6
)
(6
)%
- Revenues, net per room night
$
13.99
$
14.65
$
(0.66
)
(5
)%
$
14.00
$
14.65
$
(0.65
)
(4
)%
OTHER1
- Revenues, net
$
54.6
$
56.0
$
(1.4
)
(2
)%
$
54.7
$
56.0
$
(1.3
)
(2
)%
- Transactions
349.3
296.5
52.8
18
%
349.3
296.5
52.8
18
%
- Revenues, net per transaction
$
0.16
$
0.19
$
(0.03
)
(17
)%
$
0.16
$
0.19
$
(0.03
)
(17
)%
CORPAY
CONSOLIDATED
REVENUES
- Revenues, net
$
975.7
$
948.2
$
27.5
3
%
$
985.1
$
930.6
$
54.5
6
%
1 Other includes Gift and Payroll Card
operating segments.
2 See Exhibit 5 for a reconciliation of
Pro forma and Macro Adjusted revenue by segment and metrics,
non-GAAP measures, to the GAAP equivalent.
3 Represents total tag subscription
transactions in the quarter. Average monthly tag subscriptions for
the second quarter of 2024 is 7.1 million.
* Columns may not calculate due to
rounding.
NM = Not Meaningful
Exhibit 3
Revenues by Geography and
Segment
(In millions)
(Unaudited)
Revenues, net by
Geography*
Three Months Ended June
30,
Six Months Ended June
30,
2024
%
2023
%
2024
%
2023
%
US
$
529
54
%
$
535
56
%
$
1,033
54
%
$
1,048
57
%
Brazil
149
15
%
126
13
%
298
16
%
248
13
%
UK
124
13
%
111
12
%
246
13
%
219
12
%
Other
174
18
%
176
19
%
334
17
%
334
18
%
Consolidated Revenues, net
$
976
100
%
$
948
100
%
$
1,911
100
%
$
1,850
100
%
*Columns may not calculate due to rounding.
Revenues, net by
Segment*
Three Months Ended June
30,
Six Months Ended June
30,
2024
%
2023
%
2024
%
2023
%
Vehicle Payments
$
510
52
%
$
510
54
%
$
1,004
53
%
$
1,005
54
%
Corporate Payments
288
30
%
246
26
%
554
29
%
472
26
%
Lodging Payments
122
13
%
137
14
%
234
12
%
259
14
%
Other
55
6
%
56
6
%
119
6
%
113
6
%
Consolidated Revenues, net
$
976
100
%
$
948
100
%
$
1,911
100
%
$
1,850
100
%
*Columns may not calculate due to rounding.
Exhibit 4
Segment Results*
(In thousands)
Three Months Ended June
30,
Six Months Ended June
30,
20241
20232
% Change
20241
2023
% Change
Revenues, net:
Vehicle Payments
$
510,278
$
509,630
—
%
$
1,004,339
$
1,005,120
—
%
Corporate Payments
288,479
246,012
17
%
553,875
472,184
17
%
Lodging Payments
122,377
136,564
(10
)%
233,672
258,898
(10
)%
Other3
54,576
55,968
(2
)%
119,075
113,305
5
%
$
975,710
$
948,174
3
%
$
1,910,961
$
1,849,507
3
%
Operating income:
Vehicle Payments
$
242,025
$
232,506
4
%
$
467,720
$
455,986
3
%
Corporate Payments
120,556
95,708
26
%
225,267
176,090
28
%
Lodging Payments
56,391
68,246
(17
)%
103,668
122,809
(16
)%
Other3
14,367
16,190
(11
)%
34,022
32,960
3
%
$
433,339
$
412,650
5
%
$
830,677
$
787,845
5
%
Depreciation and amortization:
Vehicle Payments
$
49,765
$
51,926
(4
)%
$
100,087
$
102,276
(2
)%
Corporate Payments
20,698
17,779
16
%
41,501
37,939
9
%
Lodging Payments
11,965
11,661
3
%
23,595
23,059
2
%
Other3
1,914
2,310
(17
)%
3,919
4,634
(15
)%
$
84,342
$
83,676
1
%
$
169,102
$
167,908
1
%
Capital expenditures:
Vehicle Payments
$
30,254
$
29,014
4
%
$
58,448
$
53,986
8
%
Corporate Payments
7,581
7,832
(3
)%
14,857
14,676
1
%
Lodging Payments
4,589
3,496
31
%
9,415
6,873
37
%
Other3
1,673
1,842
(9
)%
2,569
3,388
(24
)%
$
44,097
$
42,184
5
%
$
85,289
$
78,923
8
%
1 Results from Zapay acquired in the first
quarter of 2024 are reported in the Vehicle Payments segment from
the date of acquisition.
2 The results of our Russian business
disposed of in August 2023 are included in our Vehicle Payments
segment for all periods prior to disposition.
3 Other includes Gift and Payroll Card
operating segments.
*Columns may not calculate due to
rounding.
Exhibit 5
Reconciliation of Non-GAAP
Revenue and Key Performance Metric
by Segment to GAAP
(In millions)
(Unaudited)
Revenues, net
Key Performance Metric
Three Months Ended June
30,
Three Months Ended June
30,
2024*
2023*
2024*
2023*
VEHICLE PAYMENTS - TRANSACTIONS
Pro forma and macro adjusted
$
518.3
$
492.0
207.3
193.7
Impact of acquisitions/dispositions
—
17.6
—
(39.8
)
Impact of fuel prices/spread
(0.1
)
—
—
—
Impact of foreign exchange rates
(7.9
)
—
—
—
As reported
$
510.3
$
509.6
207.3
153.9
CORPORATE PAYMENTS - SPEND
Pro forma and macro adjusted
$
289.6
$
246.0
$
42,879
$
36,033
Impact of acquisitions/dispositions
—
—
—
—
Impact of fuel prices/spread
—
—
—
—
Impact of foreign exchange rates
(1.2
)
—
—
—
As reported
$
288.5
$
246.0
$
42,879
$
36,033
LODGING PAYMENTS - ROOM NIGHTS
Pro forma and macro adjusted
$
122.5
$
136.6
8.7
9.3
Impact of acquisitions/dispositions
—
—
—
—
Impact of fuel prices/spread
—
—
—
—
Impact of foreign exchange rates
(0.1
)
—
—
—
As reported
$
122.4
$
136.6
8.7
9.3
OTHER1- TRANSACTIONS
Pro forma and macro adjusted
$
54.7
$
56.0
349.3
296.5
Impact of acquisitions/dispositions
—
—
—
—
Impact of fuel prices/spread
—
—
—
—
Impact of foreign exchange rates
(0.1
)
—
—
—
As reported
$
54.6
$
56.0
349.3
296.5
CORPAY CONSOLIDATED REVENUES
Pro forma and macro adjusted
$
985.1
$
930.6
Intentionally Left Blank
Impact of acquisitions/dispositions
—
17.6
Impact of fuel prices/spread
(0.1
)
—
Impact of foreign exchange rates2
(9.3
)
—
As reported
$
975.7
$
948.2
1 Other includes Gift and Payroll Card
operating segments.
2 Revenues reflect an estimated $9 million
negative impact from movements in foreign exchange rates.
* Columns may not calculate due to
rounding.
Exhibit 6
RECONCILIATION OF NON-GAAP
EBITDA MEASURES
(In millions)
(Unaudited)
The following table reconciles EBITDA and EBITDA margin to
net income from operations.*
Three Months Ended June
30,
Six Months Ended June
30,
2024
2023
2024
2023
Net income from operations
$
251.7
$
239.7
$
481.5
$
454.5
Provision for income taxes
82.5
86.9
158.0
166.9
Interest expense, net
94.7
88.5
183.8
168.3
Other expense (income), net
4.5
(2.4
)
7.6
(1.7
)
Investment gain
—
—
(0.2
)
(0.2
)
Depreciation and amortization
84.3
83.7
169.1
167.9
Other operating, net
—
0.8
0.3
1.5
EBITDA
$
517.7
$
497.1
$
1,000.1
$
957.2
Revenues, net
$
975.7
$
948.2
$
1,911.0
$
1,849.5
EBITDA margin
53.1
%
52.4
%
52.3
%
51.8
%
* Columns may not calculate due to
rounding.
Exhibit 7
RECONCILIATION OF NON-GAAP
GUIDANCE MEASURES
(In millions, except per share
amounts)
(Unaudited)
The following table reconciles third quarter 2024 and full year
2024 financial guidance for net income to adjusted net income and
adjusted net income per diluted share, at both ends of the range:
2024 GUIDANCE
Low*
High*
Net income
$
1,058
$
1,088
Net income per diluted share
$
14.85
$
15.15
Stock based compensation
107
107
Amortization
233
233
Other
38
38
Total pre-tax adjustments
378
378
Income taxes
(91
)
(91
)
Adjusted net income
$
1,345
$
1,375
Adjusted net income per diluted share
$
18.85
$
19.15
Diluted shares
72
72
Q3 2024 GUIDANCE
Low*
High*
Net income
$
273
$
283
Net income per diluted share
$
3.88
$
3.98
Stock based compensation
28
28
Amortization
59
59
Other
7
7
Total pre-tax adjustments
94
94
Income taxes
(22
)
(22
)
Adjusted net income
$
345
$
355
Adjusted net income per diluted share
$
4.90
$
5.00
Diluted shares
71
71
* Columns may not calculate due to
rounding.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240807038916/en/
Investor Relations Jim Eglseder, 770-417-4697
Jim.Eglseder@corpay.com
Corpay (NYSE:CPAY)
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